FT MF says over Rs 14,500 cr returned to investors of 6 shuttered schemes

This amounts to 58 per cent of the assets under management of the six schemes on April 23, 2020, when the fund house decided to wind them up

Franklin Templeton (FT) Mutual Fund on Wednesday said it has returned Rs 14,572 crore to unitholders of its six shuttered schemes.

This amounts to 58 per cent of the assets under management of the six schemes on April 23, 2020--when the fund house decided to wind up the debt schemes citing liquidity constraints.  FT said it had another Rs 2,642 crore cash available for distribution.

The six schemes under winding up include Franklin India Ultra Short Bond Fund, Franklin India Low Duration Fund, Franklin India Short Term Income Plan, Franklin India Income Opportunities Fund, Franklin India Credit Risk Fund and Franklin India Dynamic Accrual Fund.

The amount distributed as on May 31 ranges between 26 per cent and 87 per cent of the AUM before the winding up decision.

Under the first disbursement in February, investors received Rs 9,122 crore, while Rs 2,962 crore were paid to investors during the week of April 12 and in the latest disbursement during the week of May 3, investors were paid Rs 2,489 crore.

In March, the Supreme Court accepted the standard operating procedure (SOP) finalised by SBI Mutual Fund to monetise assets and distribute the proceeds to unitholders of the six debt schemes of Franklin Templeton MF.

SBI MF has been appointed as the liquidator for the schemes under winding up by the Supreme Court.